Trump eliminating DEI wherever he finds it.

0:00 Speaker 1 Sunday morning. Well, it wouldn’t be Sunday morning without Charlie. Guys, Farino, go woke, go broke. You you called it right years ago. Charlie, give us an update. What’s going on? Uh this week and next week?

0:17 Speaker 2 Next week is gonna be interesting. You know, we’re gonna get closer to disclosures on tariffs, and you know, the markets hay tariffs. I mean, just be prepared for a lot of volatility. You know you saw it and trading right after Trump announced the auto tariffs. You know, we’re gonna get some more disclosure on on the other stuff.

0:38 You know, uh next you know, next in a day or so essentially, and the markets are gonna are gonna be bouncing around a lot. So just be prepared for this, I mean, with the markets really have to come to terms with John is the following. You know, how much will tariffs cost compared to how much will regulation and

1:01 all the good start and all the good stuff add And you know it doesn’t know right now. So in that sort of void you know you’re gonna get, you’re gonna get volatility, and that’s what we’re getting in markets right now. This is a hard time to to sort of be an investor. It’s it’s you know, it’s it’s

1:19 probably a good time to take a little uh off the table, right, yeah, and you know, have some cash and and uh you know, sit back and watch and maybe find a buying buying opportunity, because there will be buying opportunities once we get through this. I’m convinced, you know, lower tax rates are are are always better, you know,

1:42 and uh, deregulation usually works.

1:45 Speaker 1 Well long term my opinion, Charlie, and I think it might be yours too that long term, I think our country is going to do great. But for for the weak people out there, that that that see that that see a a problem around every corner, Uh, they’re gonna they’ll sell and suffer. And for other people they’re gonna

2:07 buy in and make call.

2:10 Speaker 2 Yeah. But but by the way, to be a little defensive now, I don’t think it’s the worst thing, you know, because we don’t know where it’s going, and you know, there will be a buying I believe. So I think I don’t think you know, being selling a little bit taking you know, taking your will. I mean, if you

2:27 you made a lot of money in this market, it’s not a bad time to take a little off the table. I mean, it’s just not and because this is a very valtile period and it’ll it will sort out, and I think it will be that good and that means there will be a buying opportunity, right and now you

2:48 gotta keep for all the crazy stuff we’re talking. Have you heard from the video or any of these chip manufacturers that they’re going to cut back on R and D for or AI? I mean, is there any any sort of word that A I mean, AI is going to be a huge driver of economy. It’s good. It’s

3:08 going to create if you believe the hype, and you know, the hype seems real. It’s going to create productivity games that means g GDP games without concomitant inflation. That’s the best of both worlds. That should be net net good for the economy. I mean, are you hearing that the AI spending is going to somehow be throttled by any

3:32 of these power of stuff? So remember, there’s a lot of positive in this economy that need to be sorted out. I think that’s what the markets are doing right now. But you know, like I said, if you want to play, you know, I think a smart move is to take you know, if you made it a lot on the

3:47 on the way up, you know, you know, particularly if it’s if it’s if it’s in certain stocks, you know, and you can get a little defensive with with dividend plays. Yeah, it does doesn’t seem unreasonable. I’m not giving you know, I’m not selling state sequence here.

4:05 Speaker 1 You know, understood now the other thing about interest rates and banks, because there’s gonna be there’s gonna be a fight somewhere along the road. Trump President Trump has not gotten into it yet with the Fed chairman.

4:23 Speaker 2 Yes, I think he’s making a mistake on this and meaning for the president. And you know, and I think like if Scott Besant was being honest, he’d tell you the same thing, because he actually said it at his Economic Club in New York speech. You I’m pretty sure you were there. Yeah, where Scott. You know, I finally

4:45 got him to stop stop talking about the FED funds rate and focusing more in the ten year. You remember he said something along those lines. It’s the ten year, Bob that really matters for most on interest rates because it controls most consumer rates. You know. The the said funds rate is a liquidity measure. And it infuses the

5:05 banking system with more money. The markets like it. But if you lower the FED funds rate and you have and it’s simultaneously the ten year gaps out on yield, well then you just sort of negated any sort of benefit from lower to Fed funds rate. You see what I’m saying, And I think that’s where Trump should focus.

5:27 And the stuff that lowers that is lower inflation is you know, paying down the debt as he’s trying to do with DOGE and some of the other policies that he’s doing. But you should you should also know that that towers, or at least in the short term, are considered a negative on inflation. So Fed funds rate the

5:48 ten year could could gap out on that. But just think about that. If you impose towers and you have inflation of fears being baked into the market, and then you lower the Fed, think of what’s going to happen at the ten year at that point. It’s not good. See, if you’ve got to be really careful here, this is

6:06 a dynamic that is unfolding. It’s a little bit it’s new to most people. It’s a little bit scary, and uh, we’re just gonna have to like buckle up a little.

6:18 Speaker 1 Bit here, understood. Uh, we got a minute left. Anything else you want to tell you American people on Sunday morning, by my.

6:27 Speaker 2 Book, go well, go broke. By the way, DEI is front and center. You know, there are state attorney generals that that are that are making sure it doesn’t get pushed. There are some places that are that are trying to hold on to it for dear life, even though it is de facto illegal quotas. But you know one thing,

6:45 if you you got to give Trump credit. He is systematically ending this notorious hiring practice and you know, make it front and center. And uh, you know you got to get huge kudos for that. He actually had the had the wherewithal to.

7:01 Speaker 1 Go there, understood, Charlie Gasparino. I’ll see you on Monday morning and let’s see which way the markets are going.

7:10 Speaker 2 You got it, Thanks j Take care